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Reverse college lending deregulation

The deregulation bonanza of the last two presidential administrations has created an educational cost structure in which tuition has doubled in the last ten years and resulting in increases at almost twice the rate of inflation. Students today can easily pay 30-50% of their income servicing their educational debt. Educational debt has become almost impossible to absolve through bankruptcy compared to home ownership and business loans. I'm not for bankruptcy as a tool to not pay your educational debt but this law has provided the incentive for private lending businesses to work with universities to saddle this generation with a record costs of education.

 

Since our government is at the mercy of the 6 largest banks that control 60% of US GDP (according to economist Simon Johnson) as of our recent financial crisis it is not likely to simply reverse the deregulation of which they handsomely profited. I simply propose to make STUDENT LOAN PAYMENTS TAX DEDUCTIBLE the result being that it will be in the governments interest to keep the cost of education and the debt that goes with it affordable.

 

Furthermore our tools to attack of national debt and recover economically lie in the entrepreneurial savvy of our population. We hear over and over our economy's strength is in in consumer spending yet no connection has been made that 20-30 years of educational debt is already having a sever impact on our economic progress.

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Idea No. 119